INDONESIA Law and Practice Contributed by: Agus Ahadi Deradjat (Agung), Mahiswara Timur, Nina Cornelia Santoso and Natasya Nurul Amalia, ABNR Counsellors at Law
tainable development, the environment and IP rights. There are three ways for business actors, public ESOs and private ESOs to honour their ethical responsibilities when it comes to AI, namely by: • ensuring AI is not implemented as a policy - maker and/or decision-maker with implica - tions for humanity; • providing information about the development of AI-based technology by developers to prevent negative impacts and losses resulting from the technology; and • taking into account risk management and crisis management in AI development. In addition to the CL 9, the OJK has introduced the Code of Ethics for Responsible and Trust - worthy AI in the Financial Technology Industry (the “OJK Code of Ethics”). According to the basic principles enshrined under the OJK Code of Ethics, among other things, AI should be: • based on Pancasila (the official, foundational philosophical theory of Indonesia); • beneficial; • fair and accountable; • transparent and explicable; and • robust and secure. The current government’s approach allows for flexibility in the development of AI-based tech - nology in Indonesia, while also allowing for a “wait and see” approach to determining the appropriate measures to govern this technology. Measures in Relation to Deepfake Technologies Deepfake technologies serve as a prime exam - ple of a “double-edged sword” emerging from the development of AI. Regulation that can be
applied to mitigate the downsides of this tech - nology includes the following. Copyright law When an original work is altered using deepfake technology, it may infringe provisions under copyright law, particularly concerning unau - thorised modifications or derivative works. This may harm the original creator’s exclusive rights, namely their: • economic rights – ie, the right to derive economic benefits from a creation, including to reproduce the creation in any form, adapt, arrange or transform it, distribute it – or cop - ies thereof – and display it; and • moral rights, including the right to prevent distortion, modification, mutilation or other actions that harm the honour or reputation of the creator, unless such actions are approved. Accordingly, the copyright owner/holder may exercise their rights to prohibit the illegal repro - duction, adaptation or transformation of content created using deepfake technology, as a meas - ure to protect their economic and moral rights. In addition to criminal measures, the creator or copyright holder may pursue legal action against individuals who intentionally, without proper authorisation or consent, infringe upon the performer’s moral rights, including seeking compensation for damages. The EIT Law Under the EIT Law, the creation and use of deep - fake technologies may also entail several legal risks, as stipulated in: • Article 28 (1), which prohibits the dissemina - tion of false information that causes material damages to the consumer;
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